The Importance of Re-Engaging Dormant Customers
Every business spends time and money on acquiring new customers. This is important. After all, the growth of a company is largely dependent on the growth of the number who purchase their products or avail their services.
But is customer acquisition the sole factor in building a successful business? Not at all. The truth is, there are a number of companies who are successful at getting new customers but are not able to make money continuously.
The market today, even in different fields, are more competitive than ever before and this is reflected in extremely high customer acquisition costs. And unfortunately, not all companies are able to handle the expenses. It is for this reason that customer retention has become increasingly important. Just how critical is it? Here are some facts:
* A 5% increase in customer retention rates increases profits by at least 25% and could go up to 95%.
* The cost of acquiring a new customer costs five times more than keeping an existing one.
* On average, the value of a lost customer amounts to $243.
* While the probability of selling to a prospective customer ranges from 5 to 20%, the probability of selling to an existing customer is at 60 to 70%.
Thanks to digital channels that we have now, there are even more ways to retain even those dormant customers.
Send Emails to Customers Who Appear to Have Encountered a Roadblock
We are not talking about product updates and notifications about upgrades and more. We are referring to the responses you should make when users get stuck in a certain stage in the purchase process or when they fail to take certain actions while making an account. These triggered emails deliver results because they address relevant issues.
Engage Users With Your Content
Share useful information with your customers, especially those that have not done any activity recently. Do not limit the information to the improvements you make. Give them helpful tips. You want to offer insights that can aid your customers in achieving success with your products. Let them know why they need your products and why they have been your customers in the first place.
There may be some customers that would require more than encouraging words to get back on board. Perhaps you can offer them something enticing that your competitors can’t. Discounts, freebies, or personalized services are hard to resist. No matter what you choose to give out as incentives, make sure that it is something that will be valuable to your customers.
Your existing customers are among the most important assets you have. So don’t stop looking for ways to get your disengaged customers back. ReferLinks Online Marketing can help you with that. We can help you not only keep your existing customers interested but also gain new ones!